Consolidating loans through my mortgage? Good or bad idea?

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I'm thinking of consolidating my current car loan (26k over five years) and credit union loan (8k left over the next 3 years) by re-mortgaging my house and adding a extra 40k (40k is minimum though TSB). Does this make sense to you financial gurus? Please note…I’m getting married next year so the left over from the 40k will go towards my wedding.
 
Re: Consolidating loans through my morgage? Good or bad idea?

It may make sense if (a) you schedule the repayment of the topup over a similar period to the original loans (e.g. 3-5 years) rather than over the remaining term of your mortgage (which will probably mean lower total monthly repayments but a much higher interest bill in the long run while you pay for your car/CU loan over decades rather than years) and (b) you address the budgeting/spending issues that got you into debt so as not to end up in a similar position later on (with unsecured loans and a now larger mortgage). Do you really want/need to spend €40K on the wedding? Seems excessive to me but each to his/her own. Also you are probably keeping money in deposits/shares while borrowing from the CU and you might be better off using that money to reduce you debt rather than saving it while borrowing.
 
Thank for your good reply Clubman... 40k is not for the wedding... 26K + 8k go into paying of fthe car/CU loans, which = 34k leaving 6k for the wedding? Small wedding :)...
 
I reckon it was the way I worded it... My typo :)... Yeah the OnePlan option with TSB seems to allow verious payment options over different years so it may make sense to do this. Thanks again.
 
All tracker/variable rate mortgages allow you to make capital repayments at any time without penalty - the only condition may be a minimum limit of c. €1K on lump sum overpayments by some lenders. As such you don't need any special loan in order to accelerate the repayment of capital and thereby reduce the effective term (in part or full).
 
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